How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...

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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
How can Law understand and
 communicate with the Sharing
Economy and the Technological
 Apps world?  The  case
        Federico Lubian
                        of Uber
       University of Fribourg

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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
The Sharing Economy
The Sharing (also Collaborative)
Economy is an economic model where
ownership and access are shared
between corporations, startups and
people.

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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
Uber and its App

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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
Reactions to the diffusion of Uber

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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
Uber Legal Problems

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How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
Uber and the Sharing Economy
• Rasoul Jalali (Uber Switzerland): “Uber has
  never seen itself as a sharing economy
  pioneer, our goal has always been to grant a
  better corrispondence between offer and
  demand as well as a more efficient use of cars
  and means of transport”.

• Since March 2015: Uber expressed its interest
  in joining the government-backed organization
  Sharing Economy UK (SEUK). SEUK
  refused them arguing that they “see it as a
                                                   9
  conventional private hire operator”.
How can Law understand and communicate with the Sharing Economy and the Technological Apps world? The case of Uber - Federico Lubian University of ...
What is Uber?

(from a legal point of view)

                               10
Critical Aspects of Law
  as a Social Science
              • Brooks Adams
                with         his
                materialist
                conception of
                history and the
                inevitably
                conclusion that
                the        law’s
                content is the
                product of the 11
(1) The perception of the dilemma

                                    12
(2) “Flexibilization” of the Law in
    order not to stifle Innovation
• “Product cycles in technology are faster than
  justice … [The innovator is] always already in
  credit”.
• Regulators and policymakers should act as
  “adaptive agents” who adjust regulations and
  policies according to the evolution of the
  markets and technologies.
  The “adaptive regulator” must have:
     •an incremental approach: small steps
       should be taken and social change should    13
(3) The request to the ECJ

• A Spanish judge has asked the European
  Court of Justice to determine what kind of
  company Uber is and if Spain was allowed to
  ban it.
• The referral to the European court was
  announced on July, 20 2015 by Mark
  MacGann, head of public policy at Uber,
  saying that the EU's highest court will
  determine if Uber provides “a mere transport
  activity, or an electronic intermediation or   14

  information society service”.
How to define Uber
     Four parameters defined in the WTO Case China
       – Publication and Audiovisual Products:
1.      Essential Operational Characteristics
2.      Perception of the End-Users
3.      International Classification
4.      Applicable Legal Framework

                                                     15
1. Essential Operational
     Characteristics

                           16
How Uber works

                 17
2. Perception of the End-Users

                                 18
3. International Classification

                                  19
International Classification
                 WTO Doc. W/120

84341                         “System                            Software
Download”: this subclass includes
electronic files containing system
software
71221   Taxi services:that     can
                       Motorized         be
                                   taxi-cab      downloaded
                                            services,                         and
                                                      including urban, suburban
and interurban. These services are generally rendered on a distance-travelled
stored
basis,            on
       for a limited       a
                     duration    local
                              of time, and to a device            for
                                                specific destination.
provided by passenger carrying motorcycles are included.
                                                                            later
                                                                      Taxi services

execution/installation”
71222   Rental services of passenger cars with operator: Chauffeur-driven
hired car services, wherever delivered, except taxi services. These services are
generally supplied on a time basis to a limited number of passengers, and
frequently involve transportation to more than one destination.

84342                  “Application                           Software           20
4. Applicable Legal Framework

                                21
4.1. How Uber defines itself
          Uber offers information and a means to obtain
          transportation services offered by third party
          transportation providers, drivers or vehicle operators (the
World
          "Transportation Provider"), which may be requested
T&Cs
          through the use of an application supplied by Uber and
          downloaded and installed by you on your single mobile
          device (smart phone) (the "Application").
          The Uber App and the Website provide means to enable
UK        you to obtain transportation services offered by third
T&Cs      party transportation providers, drivers or vehicle
          operators (the "Transportation Provider").

                                                                    22
4.1. How Uber defines itself
            The Services constitute a technology platform that enables users of
            Uber’s mobile applications or websites provided as part of the Services
            (each, an “Application”) to arrange and schedule transportation
            and/or logistics services with third party providers of such services,
            including independent third party transportation providers and third
US T&Cs     party logistics providers under agreement with Uber or certain of Uber’s
            subsidiaries (“Third Party Providers”). Unless otherwise agreed by Uber
            in a separate written agreement with you, the Services are made
            available solely for your personal, non-commercial use”.

            Uber is a technology company that has developed an app that connects
            users (riders) with driver partners who provide transportation to the user.
Guideline   Uber is not a transportation carrier, and does not employ any
to Law      drivers. Users can use the Uber App to request transportation via their
Enforcem    smartphone, the web, or via SMS. Uber users can choose from a variety
ent         of drivers available in his or her location, including but not limited to:
            […] UberX, XL, UberPool: drivers who use their own personal cars
            […].
                                                                                      23
4.2. The definition of the California
    Public Utilities Commission
               An organization whether a corporation, partnership,
               sole proprietor or other form operating in California
Concept of     that provides prearranged transportation services
Transportation for compensation using an online-enabled
Network        application (app) or platform to connect
Company        passengers with drivers using their personal
               vehicles.

                 The Commission is aware that TNCs are nascent
                 industry.
The definition   Innovation does not alter the obligation to protect
of the content   public safety, especially where, as here, the core
of the Service   service being provided - passenger transportation
                 on public roadways – has safety impacts for third
                 parties and property.
                                                                   24
4.3. What tribunals think about Uber

 Italy - Tribunal of Milan 16612/ 2015 – Order banning the Uber Pop service in
              Italy for violation of the rules on the unfair competition
The service is compliant with the lawThe service is not compliant with the law
because the Contract is an atipic one.      because the Contract is a tipic one.

(1) Uber drivers, contrary to taxi drivers,(1) the use of payment structures and
share the trip with the users and they are operative modes which are analogous to
in the condition to refuse to perform the the ones of the taxis;
service;

                                             (2) the total absence of pertinence in the juridical
(2) Uber drivers work only in the closedqualification of the contracts concluded in the
group called community and not on «on the community as a closed group, given the extreme
place» i.e. not offering a service to the easiness to access it and the promotion, without
public, defined by italian law asdistinction between the receivers, that Uber does
supplementary service under license.      of its app presenting the advantages of their
                                             service (in monetary terms).
                                                                                              25
4.4. New Laws for the Sharing
              Economy
• Regulatory Multi-step Procedure:
  • Incubating Period: experimenting with a new
    temporary rule on a small-case basis to gather
    further information on the innovation and on the
    effects of the regulation;

• Increase Flexibility of the Law via a sunset
  clause which predetermines the expiry of the
  relevant provision at the end of a certain period.

• Regulators should convert the process of             26
4.4. What tribunals think about New
           Laws for Uber

    France - Conseil Constitutionnel n. 2015-
         468/469/472 QPD - 22 May 2015
Consistent with
Inconsistent    withthetheConstitution,
                            Constitution and
annulled
the new provision of the Code of Transports that
declares
those provisions
          illegal forthatthose
                            prevents
                                enterprises
                                       Uber that
                                              and are
                                                   similar
                                                       not
Consistent
regular taxis
entreprises   with
             from   the   Constitution,
                 to charging
                     display     the
                                 the clients
                                      position
                                             based
                                                 of on
                                                     their
                                                       the
available
distance   covered
            cars on of
the new provision     aand
                        map.
                          thethe
                              Codetime  spent inside
                                     of Transports  thatthe
vehicle.
obliges Uber (and similar enterprises) drivers, to
come
Thoseback     to the garage
       impositions     harm: after the rides – if they
do notfreedom
• the  have a previous      reservation
                  of enterprise          made ones
                                     of those   beforewho27
THANK YOU FOR YOUR
ATTENTION

                     28
QUESTIONS
                     Federico Lubian
              University of Fribourg
            federico.lubian@unifr.ch
                                       29
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